2016-11-20

Jakarta: Indonesia's economy & infrastructure: Nov. 12-19, 2016



During my stay in Jakarta, I saw new developments of the economy.

You may find many motorbike drivers and pillion passengers with green helmets in Jakarta. They are drivers and riders of Go-jek, a new bike service expanding rapidly. (See also the top photo)

The operation company was established in 2010 by a young entrepreneur. It is like UBER’s service in Indonesian style. He developed a new application on the smart phone and successfully established a network which connected the bike drivers and the customers.

Now, more than 200 thousand Go-jek drivers are in operation in Jakarta and other cities. The company expanded its business into automobile service, delivery service and other related services. Conflicts with traditional taxi driver are occurring.

UBER and other firms followed Go-jek in providing bike service. It is an example of digitization as well as liberalization of the economy.

Developing infrastructure is one of the most important economic policies in Indonesia. The first MRT (massive Rapid Transport) system is under construction in Jakarta. The first stage is planned to link central Jakarta and southern Jakarta (about 15.7km) by the end of 2018.

The MRT will run underground in the central city. I have taken many photos at the Bunderan HI, the city center, since last year. I took it again.

I also visited southern part. I saw the consrtuction at Senayan, about four km south from Bunderan HI. (see the 2nd photo from the top)

The MRT will ran over the ground in the southern part. The construction of overhead railway is under way.

Only columns stand in the Bloc M area.

Still the infrastructure shortage is serious. The roads and highways are always jammed. (see the 3rd photo from the top)

I found the industrial parks were well developed when I visited Cikarang, in the east outskirt of Jakarta. The connections which connect the industrial parks and the highways as well as the ports are bad.

The situation in Sumatra and other islands are worse.

There are more than 100 shopping malls in Jakarta, according to a local journalist. In addition to the malls in Tamrin, central Jakarta (I wrote the information in my “the weekend in Thamrin” blog), I visited malls in the Bloc M areas, both are in the south of Jakarta. I saw rich and ordinary people enjoying shopping and foods.

I also visited a mall in Senayan.








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